Saudi Arabia Seeks Chinese Investment For $500 Billion Neom Project Despite Viability Concerns

In a bid to attract foreign investments, the high-profile team behind Saudi Arabia's futuristic city, NEOM, recently concluded a tour across China, showcasing grand plans that include a sprawling ski resort and skyscrapers stretching over 170 kilometres.

The roadshow, led by the brainchild of Crown Prince Mohammed bin Salman, made stops in Beijing, Shanghai, and Hong Kong. Potential investors were treated to detailed presentations at Hong Kong’s M+ museum, where they viewed impressive renderings of NEOM's development stages.

Tarek Qaddumi, NEOM's executive director, highlighted the project's evolution since its announcement in 2017, emphasising its goal to balance nature conservation, human liveability, and economic prosperity. He described NEOM as "probably the most exciting and forward-looking initiative of the 21st century."

However, reactions from potential investors were mixed. Plato Yip, chair of the environmental group Friends of the Earth in Hong Kong, found The Line's concept confining, despite its potential comfort.

'The Line' is the most significant sub-project of the NEOM Project. It aims to redefine the concept of urban development and what cities of the future will look like. 

Originally envisioned as a sprawling city contained within mirrored skyscrapers stretching 170 km along the coast, The Line's projected completion by 2030 has been scaled back drastically. With expectations now reduced to completing just 2.4 km of the project by the same deadline.

Qaddumi also stated that the nine-million population target would be achieved over time. He also detailed features of The Line, including a 650-metre-long cantilever into the Gulf of Aqaba and a hidden marina, as well as upcoming construction on tunnels and an airport designed for seamless entry into the city, reports Corydon Times.

In addition to The Line, Qaddumi announced progress on luxury yachting island Sindalah and the futuristic ski resort, Trojena, set to host the Asian Winter Games in 2029.

NEOM's investor roadshow has also made stops in Europe and the United States, aligning with Saudi Arabia's Vision 2030, which aims to prepare the country for a post-oil future. While Saudi Arabia recently won the bid to host the 2034 World Cup, plans for some major projects have been extended beyond 2030.

Robert Mogielnicki of the Arab Gulf States Institute in Washington believes that projects tied to specific events will be prioritised, emphasising the need for sustainable foreign investment growth.

Crown Prince Mohammed envisions NEOM, a $500 billion development on the Red Sea coast, as a transformative centre-piece of Saudi Arabia's economy, showcasing cutting-edge technologies and diversifying economic sectors beyond oil. The plan for the city is to cover 10,000 square miles of Saudi Arabia's Tabuk province, near its borders with Jordan and Egypt.

The city is poised to exist entirely outside the confines of the current Saudi judicial system, governed by an autonomous legal system that will be drafted up by investors.

Despite the scepticism and scaled-back targets, NEOM continues to court investors globally, underscoring its commitment to transforming Saudi Arabia's landscape and economy.